Georgia political shift could open major trade opportunity for Armenia

Georgia’s changing political direction away from the West may be creating new strategic opportunities for Armenia in shaping Europe–Asia trade routes, according to a report by the Centre for Eastern Studies (OSW).

The analysis says the South Caucasus is becoming increasingly important as a transit corridor linking Europe and Asia, particularly through the Middle Corridor, which has gained relevance amid the war in Ukraine and instability in the Middle East. Georgia currently plays the central role in this route due to its infrastructure and geography, News.Az reports, citing Intelli News.

However, the report warns that Georgia’s political tensions with Western partners and concerns over democratic backsliding could weaken its position as the dominant transit hub.

OSW notes that growing mistrust from the EU and regional partners could affect investment and infrastructure funding, potentially reducing Georgia’s long-term reliability as a transport partner. At the same time, Armenia is being viewed as a possible alternative transit route, especially if it succeeds in opening borders with Azerbaijan and Turkey and advancing regional connectivity projects such as the Crossroads of Peace initiative.

News.Az 

By Leyla Şirinova